The US Federal Reserve's move to cut the rate by 50 basis points will facilitate flows to emerging markets. Experts say a weaker dollar and lower rates are favourable for India and emerging economies.
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The Indian stock market on Thursday reacted with a strong positive sentiment to the US Federal decision that reduced interest rate to 50 basis points, marking the first decrease since 2020.
Faced with high inflation during the COVID-19 pandemic, the US monetary policy committee raised the policy rate by 425 basis points in 2022 and another 100 basis points in 2023 as part of its commitment to restoring price stability.
China's first response to counter its record-high youth unemployment rate was to stop publishing the data altogether. After tampering with the calculation methods for six months, the data was published again, creating a false image of normalisation. But China's "questionable methodological r
"Initially, the rate cuts will be credit negative for most US banks. We expect their deposit costs to reprice downward more slowly than their loan yields, constraining net interest income, which is most banks' largest revenue source." Said the report
Indian markets are in cautious mode as the Fed rate cut announcement will be made tonight, with both stock indices, Nifty and Sensex, opening flat on Wednesday with a marginal dip.
Kerala State Road Transport Corporation (KSRTC), which has been running tour packages at affordable rates, has now prepared a package for school and college students at an even lower rate
Investors across financial markets, including in India, will look for fresh cues from the outcomes of the upcoming US monetary policy review meeting later this week, particularly the extent of interest rate cut, if any.
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The protestors said that these measures would address the concerns of those affected by the Tarbela and Ghazi Barotha projects and provide benefits to communities along the Indus River.